- Jan 17, 2004
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Originally posted by: Moonbeam
I cannot provide a reference for it. It is from an essay that I am writing myself which is not published. In any event it depends on what you define to be wealth. I define wealth to be one's ability to attain desired ends. In the case of trade one is improving their means to attain ends(which improves their ability to attain the ends) and in turn they are increasing their wealth. You are approaching economics from the top down, I am approching it from the bottom up, sort of through Praxeology which is the study of human action.
If I have an end that I wish to attain which is the consumption of fish and you have an end you wish to attain which is horseback riding and I trade you my horse for your fish, you now have increased your ability to attain your end and I have increased my ability to attain my end. Through this process we have both increased our wealth under my definition of it. By constantly trading means to ends that have lower value to us for means to ends that have higher value to us we create wealth.
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Clearly then, he is rich who has dominion over desire, for he who wants nothing is rich beyond measure. So a man who prefers to walk is a king compared to a man who desires a horse, but a man requires (needs) fish or some source for amino acids the body cannot self-manufacture. So if by competitive acumen I acquire the oceans of the world, what right have you to complain if I trade fish for your land. Isn't capitalism the means by which some acquire control over the resources required for life.
Suppose the work of government was to see to people's needs by creating technology that supports human life from solar energy, a machine that each person has a right to from birth that uses electricity created from sun shine to create all the chemicals required for life and insures that the number of humans alive does not exceed the reasonable carrying capacity of the planet. Then each person could have wealth beyond measure by the control of desire. So clearly that government is best which provides for everybody's needs.
Well, there is subjective wealth and objective wealth. If someone has a lot of money that is objective wealth, because that person has the ability to acquire the means to commonly desired ends (fast cars, big boats, fancy houses). However, if that wealthy man's only desire is to be the best golfer in the world and he did not have the ability to attain that end then he is subjectively a poor man. You are right, someone who desires nothing is subjectively rich beyond comprehension for they will be in a state of Nirvana for the rest of their lives. However, others will not view them as wealthy because they wouldn't necessarily have the means to commonly desired ends (fast cars, big boats, fancy houses). Actually, it is really a distinction between material wealth and immaterial wealth. Material wealth being the objective wealth (wealth that most can relate to) and immaterial wealth simply being someone's ability to attain ends that cannot be attained purely through material means.
Material and immaterial wealth go hand in hand and in fact you have to have immaterial wealth in order to use material wealth to attain your desired ends. If I have a fast car, this is my material wealth and my ability to drive it is my immaterial wealth. Both of these wealths add to my ability to attain my desired end of driving fast. On the other hand if I were handicapped my ability to drive a car may be diminished at which point my immaterial wealth would also diminish and it could be claimed that I was subjectively poorer.
People in capitalism do acquire the means that are necessary for life but in order to attain their own desired ends they must trade these means for other means to other ends. However, your scenario of a man acquiring the ocean is really a topic of monopolies which is not directly related to the original concept of mutually beneficial trade.
I'm not understanding your scenario with the solar powered machines and government. If food was in infinite abundance then it would no longer become means to an end, it would become a general condition of human welfare. If the solar powered machines were in limited abundance then I assure you that they would be provided best by the free market.
